From maximizing advertisement relevance to customizing user experience, the benefits of applied sciences and advanced data analytics have become more apparent as industries adopt data-driven approaches to create new competitive advantages. In this article, we focus on companies in the insurance industry that are implementing applications of data science to deliver efficient, risk-adjusted solutions by detecting fraudulent activity and providing a personalized customer experience. The best place to start is by looking at some of the technological trends being used by insurance companies today.
Growing Trends in the Insurance Industry
Customer Experience & Coverage Personalization
With access to a customer’s behavioral, geographic, social, and account data, AI-enabled chatbots can provide seamless, automated, and personalized buying experiences. These bots are quickly becoming the industry standard. According to a 2020 MIT Technology Review survey of 1,004 business leaders, customer service (via chatbots) is the leading application of AI being deployed today. The study shows that 73% of respondents indicated that by 2022, it will still be the leading use of AI in companies.
Behavioral-Based Policy Pricing
In the auto insurance industry, we are seeing ubiquitous IoT sensors provide personalized data to pricing platforms, allowing safer drivers to be rewarded by paying less for auto insurance (known as usage-based insurance). These techniques have expanded beyond auto insurance, and we are now seeing health & dental insurance companies also use IoT sensors that provide people who maintain a healthier lifestyle with a lower rate for insurance. A recent article highlighted dental insurance company Beam Digital for their use of IoT technologies. This company provides a smart toothbrush to every customer and monitors their oral health, while using this information to support a dental insurance plan. Beam sends the customer notices and encouragement if their brushing habits are falling short of the required standard. The company hopes this will result in improved dental hygiene and reduced premiums.
Continue reading: https://venturebeat.com/2021/08/14/science-applied-3-ways-ai-and-ml-are-advancing-the-insurance-industry/
Growing Trends in the Insurance Industry
Customer Experience & Coverage Personalization
With access to a customer’s behavioral, geographic, social, and account data, AI-enabled chatbots can provide seamless, automated, and personalized buying experiences. These bots are quickly becoming the industry standard. According to a 2020 MIT Technology Review survey of 1,004 business leaders, customer service (via chatbots) is the leading application of AI being deployed today. The study shows that 73% of respondents indicated that by 2022, it will still be the leading use of AI in companies.
Behavioral-Based Policy Pricing
In the auto insurance industry, we are seeing ubiquitous IoT sensors provide personalized data to pricing platforms, allowing safer drivers to be rewarded by paying less for auto insurance (known as usage-based insurance). These techniques have expanded beyond auto insurance, and we are now seeing health & dental insurance companies also use IoT sensors that provide people who maintain a healthier lifestyle with a lower rate for insurance. A recent article highlighted dental insurance company Beam Digital for their use of IoT technologies. This company provides a smart toothbrush to every customer and monitors their oral health, while using this information to support a dental insurance plan. Beam sends the customer notices and encouragement if their brushing habits are falling short of the required standard. The company hopes this will result in improved dental hygiene and reduced premiums.
Continue reading: https://venturebeat.com/2021/08/14/science-applied-3-ways-ai-and-ml-are-advancing-the-insurance-industry/
